WTI prices on the way to the 2021 highs


  • WTI is moving in on the 2021 highs in the open.
  • Bulls looking to higher demand and inflation supporting the price of oil. 

The price of oil was higher on Friday with traders focussing on OPEC+ supply discipline and recovering demand.

Brent crude added 58 cents, or 0.8%, to settle at $71.89 a barrel, after touching $72.17, its highest since May 2019 while WTI futures climbed 81 cents, or 1.2%, to settle at $69.62. The session high was $69.76, its highest since October 2018.

Spot West Texas Intermediate crude was making a fresh high of $69.73 from a low of $68.36 on Friday, ending 0.72% higher.

In the open, WTI is up 0.27% so far on the day and has risen from a low of $69.38 to a high of $69.61 and paint a bullish picture for the sessions ahead as it moves in on the highs for the year.

The weaker greenback is making oil cheaper for holders of other currencies and lending support to oil prices and the inflation theme is underpinning them also

The weekend press quoted Janet Yellen, Treasury Secretary, saying President Joe Biden should push forward with his $4 trillion spending plans even if they trigger inflation that persists into next year and higher interest rates. 

This comes ahead of this weeks inflation data for the US.

In other news, from Friday, US energy firms this week cut the number of oil and natural gas rigs operating, for the first time in six weeks.

Also, a slowdown in talks between the United States and Iran over Tehran's nuclear programme has been a supporting factor, which reduced expectations of a return of Iranian oil supply.

WTI levels

Technically,  the 4-hour 10-EMA has been supporting the price on a retest of the prior daily chart.

While the 4-hour close was lower, demand is the overriding bias at this juncture. However, according to the monthly chart, a correction might be on the cards before long.

The prior weekly highs have a confluence with the 38.2% Fibonacci retracement level at 66.60 at this point. 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD climbs above 1.1250 as investors eye coronavirus headlines

EUR/USD preserved its recovery momentum early Friday and rose above 1.1250 during the European trading hours. Markets are doubting the Fed's policy tightening prospects as the new coronavirus variant revives concerns over the economic recovery losing steam.

EUR/USD News

GBP/USD rebounds toward mid-1.3300s on broad dollar weakness

GBP/USD reversed its direction after dipping below 1.3300 earlier in the day and started to push higher toward 1.3350. The greenback is facing heavy selling pressure amid the sharp decline witnessed in the 10-year US Treasury bond yield.

GBP/USD News

Gold clings to strong gains above $1,800 as US T-bond yields plunge Premium

Gold staged a decisive rebound on Friday and reclaimed $1,800. The intense flight to safety is causing US Treasury bond yields to fall sharply and fueling XAU/USD's rally. Investors await news on vaccines' effectiveness against the new COVID variant.

Gold News

Cardano could tank to $1 if ADA fails to defend crucial support

Cardano price is currently hovering below a freshly shattered 6-hour demand zone, ranging from $1.68 to $1.79. This resulting crash could extend to the immediate and critical foothold at $1.40. 

Read more

Black Friday 2021 Discounts!

Do you want to take your trading skills to the next level? Now you have a chance of leaping forward at attractive introductory rates. For Black Friday, FXStreet is offering discounts of up to 50% on its upgraded Premium plans. 

Subscribe now!

Forex MAJORS

Cryptocurrencies

Signatures